We have all heard of someone talking about buying a car from Ebay, But what’s really involved ! Well having done it 4 times, I could give a mini course on it. Let’s talk about the steps.
One – Figure out what kind of vehicle you are looking for. There are so many makes, models, age and conditions.
Two – Start your research. Talk to your friends, use some good Car info sites, I like www.edmonds.com, and www.driving.ca These sites let you look at pretty much any model, used value, options. Also check some local sites as well such as: www.buysell.com and www.vancouver.craiglist.org this will give you some ideas of local pricing.
Three – Once you have figured out what type of vehicle, your budget and the local asking price, then you can look at Ebay. But before you do check out www.riv.ca this site gives you additional details on importing a vehicle and more importantly gives you the admissable vehicle list. Not every vehicle is admissable ! Also vehicles 15 years or older ( By the manufacturer’s date on the edge of the door ) are exempt from the www.riv.ca program. They still have to be BC Safety tested however.
Four – Register on Ebay. Very important, this lets you look at completed auctions and track auctions as well as other options a guest simply can’t do
Five – Due Diligence ! Check out the Buyer’s feedback, how long have they been a seller ? Have they just bought and only sold once or twice ?
Six – Once you have done the above steps, be patient ! It may take a while to find that great deal or perfect deal.
Seven – What kind of costs are involved. The auction amount is usually about 60 % of the true cost of the vehicle ! Here is some of the extra costs ! Some sellers have an administration fee, usually commercial sellers ! Most States do not collect State Tax for out of State purchases. ( Exception would usually be either a private seller or you are having the vehicle shipped) There are quite a few shipping companies that specialize in Ebay Car shipping, a good firm is DAS Shipping.
Eight – Shipping Cost, you can get an online quote from DAS on line. This will give you shipping. It is cheapest to go from Depot to Depot. IE a major city. The closest depot is Seattle. The additional cost to ship to Blaine or into Canada will run you well over $ 500.00. Make sure your seller will drop off the vehicle at the nearest depot at their end. This will save a lot of money.
Nine – Avoid Shipping cost. Of course better still if you can is to pick the vehicle up and drive it back yourself. This works well on the Western States. If it’s in Washington, Oregon or Northern Cal. maybe get your friend to drive you down and follow you home. To drive home you will need to purchase a “Binder” from ICBC, a 10 day permit to drive the vehicle back to Canada only. You require the VIN number for this, and a copy of the “Certificate of title”
Ten – Costs continued from seven – Once you win your auction and figure out how you are going to get the vehicle back to Canada. Here are some basic calculations. Exchange rate. Ebay auctions are usually in USD. Today’s rate is about 19% higher than Canadian. So if you vehicle is 10,000.00 The Canadian cost is approx. $ 11,900.00 Check with your Bank or currency exchange for todays rate for buying USD. Most Ebay auctions have a Paypal deposit and the balance is payable when picking up the vehicle. BE REALLY CAREFUL IF SOMEONE ASKS YOU TO DO A BANK TRANSFER OUTSIDE OF EBAY ! Or if the deal is too good. Ebay does back up most Car auctions with a $ 20K USD Buyer protection. But be careful. Also check with www.autocheck.com to make sure the vehicle does not have a Salvage title or Lien on it before you bid on it. If it is a salvage vehicle and you know that, exercise extreme caution. That type of auction is not backed buy the Ebayer buyer protection program.
Eleven – Border costs and procedures. Before you import your vehicle into Canada. You must clear the vehicle with US Customs. They have a complete set of paperwork they fax you. This is the US customs office at the Truck crossing, the only crossing that allows vehicle exports from the US. They require you to fax them a copy of the Certificate of title, bill of sale and their worksheet. They require a miniumum of 72 hours. They will check to make sure their is no liens and it is not showing as a stolen vehicle. They will inspect your vehicle and check the VIN numbers on the car to make sure that have not been tampered with.
Twelve – Border costs in Canada. There is no cost at US Customs, but if you do not get your title stamped by US Customs, it is illegal to drive the vehicle into Canada. Once you have this done, you can then proceed to Canada Customs. They will happily collect your money. They will want you to pay the RIV Fee. Only exempt if the vehicle is over 15 years old. This fee is about $ 210.00. You will then have to pay the GST on the Canadian amount. Currently 6%. If the vehicle has air conditioning there is a $ 100.00 levy on that. And lastly and important if the vehicle is not made in the USA or Canada, it will be subject to 6.1 % Duty. Ouch ! Don’t forget there is lot’s of Honda’s and Toyota’s that are made in North America. If the VIN number starts with a 1 or a 2 then you are looking good ! 1 = USA 2 = Canada. If it starts with J, that is Japan, or basically anything else, you will need to pay the 6.1 % duty.
Thirteen – Completing the Canadian Inspection – You have 45 days to complete your BC Safety inspection and if your vehicle is newer than 15 years, you must bring it into Canadian compliance. This is usually adding DRL’s. This stands for Daytime running lights. It is usually a module and should cost around $ 100.00 for the parts. Some vehicles may cost a little more. Also Carseat restraint hooks must be added if not there. Basically anything that was required by Transport Canada. Also prior to your Canadian inspection ( Done only at Canadian Tire ) You must have a vehicle recall clearance letter from the manufacturer. This is generally available from the web from the US Manufacturer’s site. It basically tells Canadian Tire’s inspection team, that there is no Factory recalls that haven’t been done on your vehicle. You may also get this in the States at Dealership on your way back to Canada. It must be on the dealer’s letterhead to be accepted.
Fourteen – The BC Safety inspection can be done at over 400 Certified inspection centers. Most Dealerships or private Auto mechanical shops are authorized. The fee is usually around $ 100.00. Plus the cost of any repairs. Canadian Tire will do both the Federal and Provincial inspections if you want. Be aware they may not be the least expensive place to get your repairs and your DRL’s and other repairs done. But this is the quickest one stop shop.
Fifteen – Once you have completed both inspections RIV will mail you a Canadian certification sticker within a couple of days.
Sixteen – Insurance and PST time. You are now ready to license your vehicle and pay your PST on your vehicle. You have now successfully imported your vehicle into Canada !
I hope this helps you out. This information has been compiled as a guide and should be used with the www.riv.ca website and the brochure available from any autoplan dealer to successfully import a vehicle into Canada.
Bottom line, Due digilence, but I believe there is a big savings potential. You can easily save up to 40% or more depending on the type of car you wish to buy.
Written by: Michael Nielsen
Manager: Sprite Computer Systems
Surrey, BC
Email: mike@sprite.ca
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Awesome article. There is a lot of info that not too many people would think of. Up to 40%, wow, that’s huge savings.
If anyone needs help with the importation, I worked for Customs in my past life, so I know all the in’s and out’s.
Hey me and my husband are looking to go pick up a Toyota Sienna in Momtana do you know what we should do at customs? We’ve never done this before and we have two very young kids so we want to do it as far as possible. Thanks
I was just reading the article, very good. but I saw a 2003 chev. truck on craiglist that had a salvage title, and has been repaired. can you bring these into canada and is the procedure different. thanks. I have imported boats but its very different
Read the bottom comment, it totally address your question.
Cheers
mike@sprite.ca
Good article! You can save a lot of money doing this as long as your careful, do your research, and do it right. I have written a similar guide at my website importcartocanada.info
There has been a lot of scams with Classic cars for sale on Ebay. Never wire or Western Union any money, and if you see an Ebay ad with a large Email address in the middle of the ad, run, this is always a scam. To ask questions, use the Ask member questions button on the Ebay portion of the ad near the top right. It is harder to get actual details on older classic cars, Autocheck and Carfax typically don’t have all the detail on older cars.
But on the positive with the Canadian Exchange rates, and the large great selection of older Classic cars, their does exist a great opportunity !
Good luck and be careful !
Cheers
Michael Nielsen
Michael thank you for the information. I live in Ontario Canada & am considering importing classic cars from the USA. Do you have any other info that may help shine some light on this venture?
Thgank you,
Terry
Awesome article. Do you always have to pay GST & PST on imported cars, even if the vehicle is used and sold privately?
Are there any restrictions on importing a vehicle with a salvage title, I read it just needs to be inspected, does the provincial or federal inspection cover this, is it extra or are salvage vehicles prohibited?
You pay the GST when you cross the border in all cases. The PST is payable generally when you insure the vehicle. Of course Albertan’s don’t pay any PST.
Every province will have different rules regarding Salvage Title Vehicles. You should check with your Provincial Licensing authority to see the rules in your province. The Links are provided at http://www.riv.ca.
I can tell you in BC, when you import a salvage title, you have to get an authorized Body shop to do an Structural integrity Report at your cost. Cost is generally around a $ 100.00. This generally would include a wheel alignment.
I would always get a wheel alignment done at the point of purchase in the US before I completed the transaction. If the vehicle had frame damage, and the vehicle was not properly repaired, then you would not get a good wheel alignment.
When you do this extra step, your insurance registration in BC will classify the car as “Rebuilt” Title, which will affect the eventual resale value of the vehicle.
Buyer beware, if you are not a veteran car guy, avoid salvage, the risk level is much higher, and if you can’t get the vehicle Safety inspected and Structurally inspected in 45 days, then the vehicle must be brought back to the US, and you will not be allowed to import the vehicle into Canada !
Good luck !
Cheers
Michael Nielsen